Amazon Announces Layoffs of Over 500 Employees in Twitch Unit

Amazon, the global e-commerce giant, has announced the layoff of approximately 500 employees in its Twitch livestreaming unit. The decision was made to “rightsize the company” and align its headcount with the current size of the business. The Twitch business remains strong, but the organization has been sized based on optimistic expectations for future growth rather than the current state of the business.

Twitch CEO Dan Clancy shared the news in a memo to staffers, acknowledging the passion and hard work of the team. He also expressed regret for the impact on individuals and their careers. The layoffs represent the third round of cuts at Twitch in less than a year, following reductions in March 2023 and October 2023.

Amazon has undergone significant layoffs in recent months, eliminating over 27,000 employees since 2022. The cuts have affected various units, including Prime Video and MGM Studios. The company’s focus is on ensuring a sustainable business and taking care of its employees during this transition.

The affected employees will receive an email with details on their severance package and the option to speak with their org leader individually. Access to Slack and email will be maintained until 1 PM PT for those in the US, Canada, Brazil, Mexico, and Singapore. For those in other countries, specific information on the process and next steps will be provided via email from Lauren Nunes.

Clancy expressed disappointment that the information leaked before the official announcement, causing anxiety for employees. He emphasized the importance of the Twitch community and the team’s commitment to supporting each other during this challenging time.

Amazon’s mission is far from over, and the focus is on taking care of the workforce during this transition. The company values the talent, commitment, and creativity of its employees and is grateful for their contributions to building Twitch and fostering the community.